Gift and Loyalty Cards

Gift Cards:

A gift card is a stored value card that enables the merchant to provide a gift certificate via a card, and utilize a POS device to store value and debit value from the card.

Merchant Benefits of Gift Cards:

Enhanced cash flow through card sales by selling the card today and delivering the product or service sometime in the future. This creates float for the merchant. Unlike paper gift certificates, merchant does not never give cash back if purchase is less than the value of the card. All funds stay in the merchant’s business.

Loyalty and Rewards Cards:

Loyalty cards are designed to promote and reward customer loyalty and frequency of shopping at a merchant’s business. Loyalty and Rewards cards use the same or similar technology that gift cards and stored value cards use. Providers of gift cards are also loyalty card providers. Often times the same card can be used for both types of transactions.

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